The video game industry is at a critical moment, especially in the Triple A project sector, where many companies are making significant adjustments. In this context, Ubisoft has faced a difficult week, marked by staff reductions in several of its studios, including Massive Entertainment and Ubisoft Abu Dhabi.
Abu Dhabi is the big loser
Ubisoft Abu Dhabi, which was founded in 2011 as a “regional hub” for the development and adaptation of video games, had more than 60 employees. However, staff cuts began in December 2025 and intensified in January 2026, although the company has not yet issued an official statement regarding this. Several former employees have confirmed the layoffs through posts on LinkedIn.
This round of cuts adds to the recent news of the closure of the studio in Halifax, Canada, and adjustments at other locations such as Massive Entertainment and Ubisoft Stockholm. These decisions are part of a broader restructuring strategy within the French company, a measure that has raised concerns in the gaming community and within the industry. However, Ubisoft continues to maintain good relations with Saudi Arabia, which has made investments in the company through the Public Investment Fund (PIF).
Despite these tumultuous times, there is a ray of hope. The recent release of Star Wars: Outlaws on Game Pass could provide Ubisoft with a way to improve its situation. This suitable availability of the game on the popular subscription platform could not only facilitate user retention, but also provide a great opportunity to showcase one of the most appealing open worlds the company has created, marking a milestone in the Star Wars franchise.
